If Income in the United States Increases More Rapidly Than

Multiple Choice

If income in the United States increases more rapidly than the income of our trading partners, other things constant, the dollar will

A) appreciate, imports will become less expensive, and domestic exports will become more expensive to foreigners.
B) depreciate, imports will become less expensive, and domestic exports will become more expensive to foreigners.
C) appreciate, imports will become more expensive, and domestic exports will become less expensive to foreigners.
D) depreciate, imports will become more expensive, and domestic exports will become less expensive to foreigners.